Re:Crypto Is Mostly Over. Its Carbon Emissions Are Not
by lowkey on Saturday March 25, 2023 @04:33PM
(#35307009)
Here is an example from the Guardian explaining how the contracts are designed between Bitcoin mining companies and Texas power companies.
It describes exactly the scenario I described where miners negotiate long-term contracts at low electricity rates in exchange for miners agreeing to turn off on short notice during periods of high demand.
As a result, energy companies are able to justify investing in highly variable wind power, knowing that they have long-term commitments for this wind power even during periods of low demand.
The wind often blows hardest at night when there isn’t sufficient demand to justify the investment otherwise.
It describes exactly the scenario I described where miners negotiate long-term contracts at low electricity rates in exchange for miners agreeing to turn off on short notice during periods of high demand.
As a result, energy companies are able to justify investing in highly variable wind power, knowing that they have long-term commitments for this wind power even during periods of low demand.
The wind often blows hardest at night when there isn’t sufficient demand to justify the investment otherwise.
https://www.theguardian.com/technology/2021/aug/17/bitcoin-c...